NEW CHANGES ON TDS:

Section 192 (2D) – TDS on Salary:

The person responsible for making the payment referred to in sub-section (1) shall, to estimate the income of the assessee or computing tax-deductible under sub-section (1), obtain from the assessee the evidence or proof or particulars of prescribed claims (including the claim for set-off of loss) under the provisions of the Act in such form and manner as may be prescribed.

Now the employer is responsible to verify all the supporting documents before determining the applicable Tax liability of employees.

Applicable with effect from 1 June 2015

Section 195 – Payment to Non-Resident:

The person responsible for making the payment referred to in sub-section (1) shall, to estimate the income of the assessee or computing tax-deductible under sub-section (1), obtain from the assessee the evidence or proof or particulars of prescribed claims (including a claim for set-off of loss) under the provisions of the Act in such form and manner as may be prescribed.

Now the 15 CA should be furnished for the cases even if the tax at source is not applicable

Applicable with effect from 1 June 2015

Section 194 C – Deduction of Tax on Transporter:

In section 194C of the Income-tax Act, in sub-section (6), with effect from the 1st day of June 2015, for the words “on furnishing of”, the words “where such contractor owns ten or fewer goods carriages at any time during the previous year and furnishes a declaration to that effect along with” shall be substituted.

Aslo read: TDS/ TCS provisions within the income tax Act

Now the transporter needs to provide above stated declaration along with PAN to get the payment without ant Tax Deduction

TDS Rate Chart for F.Y. 2020-21 (A.Y: 2021-22)

U/s	Payment Nature	Basic  Limit	Applicable with effect from 14/05/2020 to 31/03/2021		Applicable from 01/04/2020 to 13/05/2020
			Resident	Resident	Non-resident *	Non-resident *
		Rs.	TDS Rate (%)	TDS Rate (%)	TDS Rate (%)	TDS Rate (%)
192	Salaries	–	Normal slab rate	Normal slab rate	Normal slab rate	Normal slab rate
195	Income of Investment made by an NRI	–	–	–	20	20
195	Long-term capital gain – Under Section – 115E/ 112(1)(c)(iii)/112A – Any Other Gains	–	– –	– –	10 20	10 20
195	Short-term capital gain – 111A	–	–	–	15	15
195	Royalty	–	–	–	10	10
195	Fees for technical services	–	–	–	10	10
195	Interest income payable by Govt./Indian concern (other than section 194LB or 194LC)	–	–	–	20	20
195	Any Other Income – Other than Company – Company	–	–   –	–   –	30   40	30   40
196A	Income in respect – – of units of a Mutual Fund specified under clause (23D) of section 10; or – from the specified company referred to in the Explanation to clause (35) of section 10	–	–	–	20	20
196B	Income from units to an offshore fund	–	–	–	10	10
196C	Income from foreign currency bonds or GDR of an Indian company	–	–	–	10	10
196D	The income of Foreign Institutional Investors from securities (not being dividend or capital gain)	–	–	–	20	20
192A	Premature withdrawal from EPF	50000	10	10	10	10
193	Interest on securities – 8% Savings (Taxable) Bonds, 2003 or 7.75% Savings (Taxable) Bonds, 2018 during the financial year	10000	7.5	10	–	–
193	Interest on securities – Interest on securities for money issued by or on behalf of any local authority/statutory corporation, listed debentures of a company(other than Demat form), any other interest on securities	5000	7.5	10	–	–
194	Dividends	5000	7.5	10	–	–
194A	Interest (Banking co., co-operative society engaged in banking, post office)	40000	7.5	10	–	–
194A	Interest (Any other person)	5000	7.5	10	–	–
194B	Winning from lotteries	10000	30	30	30	30
194BB	Winning from Horse race	10000	30	30	30	30
194C	Contractor-Single transaction-Individual/HUF -Others	30000	0.75 1.5	1 2	– –	– –
194C	Contractor – Consolidated Payment During the F.Y. – Individual/HUF – Others	100000	0.75 1.5	1 2	– –	– –
194D	Insurance commission – Other than Company – Company	15000	3.75 10	5 10	– –	– –
194DA	Maturity of Life insurance policy	100000	3.75	5	–	–
194E	Non-resident sportsmen or sports association	–	–	–	20	20
194EE	NSS	2500	7.5	10	10	10
194F	Repurchase units by MFs	–	15	20	20	20
194G	Commission-Lottery	15000	3.75	5	5	5
194H	Commission/Brokerage	15000	3.75	5	–	–
194I	Rent of – Plant/Machinery /Equipment – Land and Building/Furniture & Fixture	240000	1.5 7.5	2 10	– –	– –
194IA	Transfer of certain immovable property other than agricultural land	50 lakh	0.75	1	–	–
194IB	Rent by Individual/HUF	50000 per month	3.75	5	–	–
194IC	Payment under Joint Development Agreements to Individual/HUF	–	7.5	10	–	–
194J	Professional Fees	30000	7.5	10	–	–
194J	Technical Fees (w.e.f. 01.04.2020)	30000	1.5	2	–	–
194J	Payment to call center operator (w.e.f. 01.06.2017)	30000	1.5	2	–	–
194J	Director’s fees	–	7.5	10	–	–
194K	Payment of any income in respect of (a) units of a mutual fund as per section 10(23D); or (b) the units from the administrator; or (c) units from a specified company (w.e.f. 01.04.2020)	5000	7.5	10	–	–
194LA	Compensation on the transfer of certain immovable property other than agricultural land (TDS exempted if covered under RFCTLARR Act w.e.f. 01.04.2017)	250000	7.5	10	–	–
194LB	Income by way of interest from infrastructure debt fund	–	–	–	5	5
194LBA	Income from units of business trust – interest received or receivable from a special purpose vehicle; or – dividend referred to in sub-section (7) of section 115-O	–	7.5   7.5	10   10	5   10	5   10
194LBA	Distribution of rental income to unitholders – Other than Company – Company	–	7.5 7.5	10 10	30 40	30 40
194LBB	Income in respect of units of investment fund – Other than Company – Company	–	7.5 7.5	10 10	30 40	30 40
194LBC	Income in respect of investment in securitization fund – Individual/HUF – Company – Other Person	–	18.75 22.5 22.5	25 30 30	30 40 30	30 40 30
194LC	Income by way of interest by an Indian specified company to a non-resident/foreign company on foreign currency approved loan / long-term infrastructure bonds from outside India	–	–	–	5	5
194LC	Income by way of interest by an Indian specified company on rupee-denominated bond / any long-term bonds from outside India, which is listed only on a recognized stock exchange located in any International Financial Services Centre	–	–	–	4	4
194LD	Interest on certain bonds from Govt. securities	–	–	–	5	5
194M	Certain payments by Individual/HUF	50 lakh	3.75	5	–	–
194N	Payment of a certain amount in cash	1 Crore	2	2	2	2
194N	Payment of certain amount in cash (first proviso of section 194N)if- –  Amount is more than Rs.20 lakh but up to Rs. 1 crore –  Amount exceeds Rs. 1 crore (Applicable from 01.07.2020)		2   5	N.A.   N.A.	N.A.   N.A.	2   5
194-O	Applicable for e-commerce operator for the sale of goods or provision of services facilitated by it through its digital or electronic facility or platform (Applicable from 01.10.2020)	–	0.75	N.A	–	–

 

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances; Hope the information will assist you in your Professional endeavors. For query or help, contact:   singh@carajput.com

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